Trading Income

Furnished Holiday Accommodation
Domestic accommodation available for letting for at least 140 days each year and actually let for at least 70 days. Each letting during a seven-month period of the year must also be for less than 31 days. When this arithmetical definition is satisfied, the income arising is treated as if it were trading income. Loss relief is available, pension contributions can be made on the basis of the letting income, and the income qualifies as earned income.

Accounting Terms Lexicon

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